Community Bank raises dividend as it reports higher revenue, earnings

DeWitt, NY -- Revenues and net income rose during the second quarter for DeWitt-based Community Bank System, Inc.

The company reported net income of $18 million in the second quarter, up 11.3 percent over the second quarter of 2010.

Total revenue for the second quarter was $76.9 million, up 12.6 percent over the year-before quarter.

In announcing its quarterly results, Community Bank also said it was raising its quarterly dividend 2 cent to 26 cents per share payable Oct. 7 to shareholders of record as of Sept. 15.

Net charge-offs on loans were $700,000 in the quarter, half of what they were in the first quarter of the year and $800,000 less than the second quarter of 2010.

"It would be difficult to overstate the importance of our ability to continue to deliver superior asset quality in relation to our bottomline performance," said Mark Tryniski, Community's president and CEO. Tryniski said the bank's charge-off for bad loans was just .08 percent for average loans. "The quality of our loan portfolio remains a significant operating strength," he said.

The company completed the purchase of the Wilber Corporation, the parent of Wilber National Bank, during the second quarter and said that brought $3.6 million in acquisition expenses. Community bought the Oneonta-based Wilber for about $103 million in cash and stock. It added 22 branches in eight counties to Community Bank.